Sturm, Ruger & Company, Inc. (NYSE:RGR) Share Price Crosses Above 200-Day Moving Average - What's Next?

Key Points

• Sturm, Ruger shares moved above their 200-day moving average, trading as high as $39.20 and last changing hands around $38.93. The stock’s 200-day average was $37.10, while its 50-day average was $40.75.
• Latest earnings were mixed: the company reported $0.27 EPS, missing estimates of $0.34, but revenue came in at $141.36 million, slightly above expectations and up 4.1% year over year. Analysts still expect full-year EPS of 1.98.
• The company raised its quarterly dividend to $0.11 per share from $0.08, equivalent to a $0.44 annualized payout and about a 1.1% yield. Insider buying also stood out, with the CEO and a director purchasing shares recently.

Sturm, Ruger & Company, Inc. (NYSE:RGR - Get Free Report) passed above its two hundred day moving average during trading on Monday . The stock has a two hundred day moving average of $37.10 and traded as high as $39.20. Sturm, Ruger & Company, Inc. shares last traded at $38.9310, with a volume of 90,157 shares traded.

Analysts Set New Price Targets

A number of analysts have recently issued reports on the stock. Weiss Ratings reissued a "sell (d+)" rating on shares of Sturm, Ruger & Company, Inc. in a research report on Friday, March 27th. Lake Street Capital reissued a "buy" rating and issued a $46.00 price target on shares of Sturm, Ruger & Company, Inc. in a research report on Thursday, May 7th. Finally, Zacks Research raised shares of Sturm, Ruger & Company, Inc. from a "strong sell" rating to a "hold" rating in a research report on Monday, May 4th. One equities research analyst has rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, Sturm, Ruger & Company, Inc. presently has a consensus rating of "Hold" and an average price target of $46.00.

Sturm, Ruger & Company, Inc. Stock Down 0.4%

The stock has a market cap of $620.56 million, a P/E ratio of -53.33 and a beta of 0.18. The firm's 50-day moving average is $40.75 and its two-hundred day moving average is $37.10.

Sturm, Ruger & Company, Inc. (NYSE:RGR - Get Free Report) last issued its quarterly earnings data on Wednesday, May 6th. The company reported $0.27 earnings per share for the quarter, missing the consensus estimate of $0.34 by ($0.07). The business had revenue of $141.36 million for the quarter, compared to the consensus estimate of $137.26 million. Sturm, Ruger & Company, Inc. had a negative net margin of 2.18% and a positive return on equity of 5.96%. Sturm, Ruger & Company, Inc.'s revenue was up 4.1% compared to the same quarter last year. During the same period in the previous year, the business posted $0.46 EPS. Analysts anticipate that Sturm, Ruger & Company, Inc. will post 1.98 earnings per share for the current fiscal year.

Sturm, Ruger & Company, Inc. Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, May 29th. Investors of record on Thursday, May 14th were given a dividend of $0.11 per share. The ex-dividend date of this dividend was Thursday, May 14th. This is a boost from Sturm, Ruger & Company, Inc.'s previous quarterly dividend of $0.08. This represents a $0.44 annualized dividend and a yield of 1.1%. Sturm, Ruger & Company, Inc.'s payout ratio is -60.27%.

Insider Activity at Sturm, Ruger & Company, Inc.

In other Sturm, Ruger & Company, Inc. news, CEO Todd William Seyfert acquired 1,500 shares of the business's stock in a transaction that occurred on Wednesday, May 20th. The shares were purchased at an average price of $39.15 per share, with a total value of $58,725.00. Following the completion of the transaction, the chief executive officer owned 1,500 shares in the company, valued at $58,725. The trade was a ∞ increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, Director Bruce T. Pettet acquired 1,000 shares of the business's stock in a transaction that occurred on Thursday, May 14th. The shares were acquired at an average cost of $39.89 per share, for a total transaction of $39,890.00. Following the transaction, the director owned 7,606 shares of the company's stock, valued at approximately $303,403.34. This represents a 15.14% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last quarter, insiders have acquired 7,500 shares of company stock valued at $288,615. 4.60% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Sturm, Ruger & Company, Inc.

A number of institutional investors have recently modified their holdings of the company. UBS Group AG raised its position in shares of Sturm, Ruger & Company, Inc. by 31.1% in the third quarter. UBS Group AG now owns 514,510 shares of the company's stock valued at $22,366,000 after purchasing an additional 122,111 shares during the period. Wellington Management Group LLP raised its position in shares of Sturm, Ruger & Company, Inc. by 0.8% in the fourth quarter. Wellington Management Group LLP now owns 496,315 shares of the company's stock valued at $16,205,000 after purchasing an additional 3,886 shares during the period. Dimensional Fund Advisors LP raised its position in shares of Sturm, Ruger & Company, Inc. by 7.3% in the first quarter. Dimensional Fund Advisors LP now owns 397,446 shares of the company's stock valued at $15,933,000 after purchasing an additional 27,107 shares during the period. JRM Investment Counsel LLC bought a new position in shares of Sturm, Ruger & Company, Inc. in the first quarter valued at approximately $15,916,000. Finally, Charles Schwab Investment Management Inc. raised its position in shares of Sturm, Ruger & Company, Inc. by 20.5% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 377,666 shares of the company's stock valued at $12,331,000 after purchasing an additional 64,190 shares during the period. Institutional investors own 64.00% of the company's stock.

Sturm, Ruger & Company, Inc. Company Profile

Sturm, Ruger & Company, Inc, founded in 1949 by William B. Ruger and Alexander McCormick Sturm, is a leading American designer and manufacturer of firearms. Headquartered in Newport, New Hampshire, the company has established a reputation for precision engineering and durable products. Its manufacturing footprint includes facilities in Newport and Mayodan, North Carolina, where it maintains a vertically integrated production model spanning metallurgy, machining, and assembly.

The company's product portfolio encompasses a broad range of small arms, including centerfire and rimfire rifles, shotguns, semi-automatic pistols, revolvers, and accessories.

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